Zomato-owned Eternal, Swiggy gain as labour ministry scraps 10-minute delivery threshold

Shares of Zomato-owned Eternal Ltd and Swiggy Instamart traded higher on Tuesday after the Union labour ministry ordered the removal of the 10-minute delivery model threshold, a move seen as easing pressure on quick-commerce platforms amid growing scrutiny of worker conditions.

Following the announcement, shares of Eternal Ltd were up 3.26% at Rs 294.55 at around 3:09 pm, while Swiggy’s stock edged up 0.10% to Rs 349.90.

The labour ministry’s directive comes in the wake of protests by a section of app-based delivery workers against the 10-minute delivery promise, which they argue incentivises unsafe working conditions. Over New Year’s Eve, tens of thousands of delivery workers across India went on strike, demanding fair pay, dignity and safety, and calling for an immediate ban on the marketing model that commits platforms to delivering groceries within 10 minutes across a roughly three-kilometre radius.

Delivery workers have flagged the risks associated with meeting such timelines in India’s congested urban traffic, saying the model places undue pressure on riders and compromises road safety.

The latest move also aligns with broader regulatory efforts to strengthen protections for gig and platform workers. In November 2025, the labour ministry introduced four labour codes, one of which formally brings gig and platform workers within India’s social security framework.

Under the new labour codes, aggregators are required to contribute between 1% and 2% of their annual turnover towards worker welfare, capped at 5% of their total payouts to workers. The codes also mandate timely wage payments, restrict unauthorised deductions, and extend provisions related to safety, health and social security to all workers, regardless of wage thresholds.